15 Jan 1. A student got a $10,000 grant

Angelia Freeman

MNS407

Week 1 Homework:

Chapter 1:

#13 Micromedia offers computer training seminars on a variety of topics. In the seminars each student works at a personal computer, practicing the particular activity that the instructor is presenting. Micromedia is currently planning a two-day seminar on the use of Microsoft Excel in statistical analysis. The projected fee for the seminar is $600 per student. The cost for the conference room, instructor compensation, lab assistants, and promotion is $9600. Micromedia rents computers for its seminars at a cost of $120 per computer per day.

a. Develop a model for the total cost to put on the seminar. Let x represent the number of students who enroll in the seminar.

b. Develop a model for the total profit if x students enroll in the seminar.

c. Micromedia has forecasted an enrollment of 30 students for the seminar.

d. How much profit will be earned if their forecast is accurate?

e. Compute the breakeven point.

#15 Preliminary plans are under way for the construction of a new stadium for a major league baseball team. City officials have questioned the number and profitability of the luxury corporate boxes planned for the upper deck of the stadium. Corporations and selected individuals may buy the boxes for $300,000 each. The fixed construction cost for the upper-deck area is estimated to be $4,500,000, with a variable cost of $150,000 for each box constructed.

a. What is the breakeven point for the number of luxury boxes in the new stadium?

b. Preliminary drawings for the stadium show that space is available for the construction of up to 50 luxury boxes. Promoters indicate that buyers are available and that all 50 could be sold if constructed. What is your recommendation concerning the construction of luxury boxes? What profit is anticipated?

Chapter 2

#15 Refer to the Par, Inc., problem described in Section 2.1. Suppose that Par, Inc., management encounters the following situations:

a. The accounting department revises its estimate of the profit contribution for the deluxe bag to $18 per bag.

b. A new low-cost material is available for the standard bag, and the profit contribution per standard bag can be increased to $20 per bag. (Assume that the profit contribution of the deluxe bag is the original $9 value.)

c. New sewing equipment is available that would increase the sewing operation capacity to 750 hours. (Assume that 10A + 9B is the appropriate objective function.) If each of these situations is encountered separately, what is the optimal solution and the total profit contribution?

Chat Summary:

This week’s collaborate session began with an introduction of Professor Keyhani. The first topic discussed was the confusion of when the class started and the due dates for assignments being moved to Sunday versus Saturday due to the class starting later in the week than normal. The desire for student participation was stressed as well as noting the importance of reading Professor Keyhani’s posts in the discussion forum as they may contain information relevant to the quizzes or tips that will be useful throughout the course. The problem 1+1=2 was the ice-breaker for a math ice breaker. The need for reviewing was made obvious by many of us students not reaching the same answers for many of the equations, such as -3 to the 2 power= -9 or the equation 8÷4(2+2)=16. Graphing equations was the next topic of discussion and examples of inequalities and how to graph the system. The suggestion of buying graph paper to help with graphing was given. Negative and positive slopes were also demonstrated with a refresher on what an undefined slope is, being a vertical line as well as what rise over run is and how to use it to find the slope. The class concluded with a quick summary of what is expected of us as far as the quality of our work.

Chat Questions:

1. A student got a $10,000 grant per quarter [not taxable] and the opportunity to work on campus at a rate of $17 per hour, but no more than 12 hours per week. The quarter last 8 weeks. The student aid office charges 3.5% of handling fees on the grant money and the state has an 8% income tax on the campus job. If E is ‘earnings at the end of the quarter,’ H is ‘hours of work per week,’ Find the model that calculates the income of the student at the end of quarter?

2. Define the following terms:

a. Management science process

b. Model, variable, parameters

c. Constraints in linear programing

d. Mathematical relationships known with certainty and probabilistic conditions [risk model]